Goldman Sachs Maintains Neutral, $15 PT on Darling
Goldman Sachs reiterates its Neutral rating and $15 PT on Darling International (NYSE: DAR) as short-term headwinds and limited catalysts offset best value among peers.
Goldman says, “At $13, the shares today appear to be pricing in a high probability of a worst case earnings scenario where corn and soybean prices revert towards 5-year lows. While we see attractive value over a longer horizon, particularly as we approach the commissioning of Darling's renewable diesel JV, we see short-term headwinds as slower biodiesel demand as well as increased corn oil production weigh on the price of Darling's fats and greases.”
DAR closed at $13.26 per share on Monday.
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